Accounts Receivable Financing Blog - Page 2 of 3

Don’t be Fooled by Online Lenders

June 27, 2017

A Safer Option than Online Lenders. We know that business owners can get in a pinch financially and feel they need to resort to online lenders for fast cash. Many of these online lenders, such as a Merchant Cash Advance (MCA), offer quick funding with little paperwork, but this decision can have long term effects on your finances. These online lending structures may be based on your business's future sales, making it a higher risk funding option with a greater liability on your balance sheet. Many of these online options also have very high interest rates, forcing you into a

Why Invoice Financing may be better than a Business Loan

January 9, 2017

Invoice Financing may be better for your company than a Business Loan. According to The Service Corps of Retired Executives (SCORE), 82% of start-ups and small businesses fail because owners have a poor understanding of cash-flow management and lack the ability to access working capital needed for growth. One funding option that is often overlooked is invoice financing. This alternative lending method does not have the same strenuous requirement process as a traditional business loan. The main qualification is that a company has customers with outstanding invoices that are paid on terms. Below, we will take a look at why

Does Making Payroll Stress You Out?

December 2, 2016

Payroll Funding may be the answer. What is Payroll Funding? Funding payroll can be a challenge without a constant source of cash flow. Even if your customers pay within 30 days, your employees likely need to be paid sooner. If your customers have longer payment terms of 45, 60, or even 90 days, Payroll Funding may be a necessity for paying your employees on time. How does Payroll Funding work? Slow paying customers, rapid growth periods, seasonal patterns, selling on credit terms, and other factors can create cash flow challenges for your business. With Payroll Funding, rather than waiting for

Your Business May Be at Risk of Growing to Death

October 26, 2016

Growth is usually viewed as a positive step for business owners, but if not managed properly, growth could be the death of your business. If your business grows too fast, or grows the wrong way, you can actually grow yourself out of business. Along with growth comes the costs of additional staff, system development, and changes in operations. Without access to working capital, your business won't be able to support these essential changes. By tapping into your business's Accounts Receivable, or outstanding invoices, you can free up existing capital and have access to the immediate cash flow needed for growth.

SouthStar’s Recent Working Capital Solution

October 4, 2016

Providing alternative solutions to businesses in need of a fast and reliable source of working capital. Below is one of our recent funding solutions that provided our client with the working capital needed to ensure the growth and success of their business. $1,000,000 Receivables Line coupled with a $350,000 Equipment Lease, along with a Brokerage Line of $500,000 and a $100,000 Term Note for a Trucking and Storage Company Contact us today to discuss the working capital options available to your business. CONTACT US TODAY!

How You Can Be a ‘Shark Tank’ Winner

September 13, 2016

Getting the chance to be on the reality show 'Shark Tank' can be a huge opportunity for any business. Having a great idea and company can only get you so far if you lack the working capital to grow. What if we told you that SouthStar Capital can provide the same benefits as the show 'Shark Tank', but our version is even better? We can provide your business with the capital needed for growth, but we do not require any equity within your company. Instead, we use the existing assets you already own and turn them into working capital. In-turn,

Types of Collateral

August 30, 2016

You may have business collateral and not even realize it... When looking for a source of capital, there are several factors your lender may take into consideration. For instance, traditional lenders will first look at your company's credit history, balance sheet strength, and years in business when underwriting a loan. This way of thinking leads to many businesses being turned down and not receiving the funding they need. SouthStar Capital takes a non-traditional approach and uses your business's assets, or collateral, to make our funding decision. In-turn we are able advance your business capital by using your collateral as leverage.

AR Financing in Action

May 3, 2016

Below illustrates one of the working capital solutions we recently provided through Accounts Receivable Financing. PROBLEM: SOLUTION: RESULT: Contact SouthStar today to discuss the benefit Accounts Receivable Financing can have on your business. CONTACT US TODAY!

The SouthStar Funding Process

April 6, 2016

How does Accounts Receivable Financing Work? You provide products or services to another creditworthy business on terms. You send the invoice to your customer and send the invoice, along with any support documentation (i.e. purchase orders, contracts, etc.) to SouthStar Capital. SouthStar will verify the invoice then advance a portion of the invoice directly to you, typically 70 to 90 percent. Your customer then pays the invoice by ACH, wire transfer, or a check made out to your company, but sent SouthStar Capital's address. SouthStar then sends you the invoice balance, less our fee. Contact us today to learn more

The SouthStar Advantage

March 11, 2016

Non-Traditional Approach Our credit decision is based on your company’s assets, not past financial performance or time in business. Our in-house Underwriting allows for quick funding, typically in 2-5 days. Our diverse product mix allows you the flexibility to select what most benefits your business. We are a private company allowing for customizable solutions in your company's best interest. We work with both Tax Liens and Balance Sheet issues. Grow with Confidence We prescreen potential clients of yours allowing, you to better understand their strengths, payment habits, and credit worthiness. We do not impose limits on our clients, so your